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McHenry: Democrats are Taking Advantage of this Crisis for Political Gain

Washington, Mar 23 -

Republican leader of the House Financial Services Committee, Patrick McHenry (NC-10), issued the following statement in response to Democrats’ partisan legislative package circulated earlier today, which includes politically motivated and misguided proposals that do not provide necessary relief to American families and businesses:

“Over the last several days, I have worked with Senate Republicans, the Administration—and our Democrat colleagues—to craft a bipartisan bill that would provide necessary support to those on the frontlines of this fight. Senate Democrats, at the behest of Speaker Pelosi, have now voted twice against this vitally important package. Instead, they are pursuing a 1,400-page grab-bag of progressive policy goals that has little to do with the crisis at hand and absolutely no chance of becoming law.

“Every day is critical in the fight against COVID-19 and this is now two days completely wasted. Rather than playing these dangerous and irresponsible political games, Congressional Democrats should join us is passing the CARES Act so the American people can start getting this vitally needed assistance immediately.

Key facts on financial services provisions in House Democrats’ bill text circulated today:

Many of the financial services proposals included in Speaker Pelosi’s proposal have nothing to do with responding to the COVID-19 crisis:

• A ban on all stock buybacks for all public companies, regardless of whether they received public funding.
• Permanent changes to who can serve on corporate boards of directors.
• Require businesses that receive assistance now to include the federal government as a majority shareholder with voting rights, politicizing these businesses and potentially nationalizing companies.
• Preventing regulators from performing one of their basic functions—rulemaking—is a thinly veiled attempt to delay the current Administration from promulgating actions House Democrats disagree with.

Many provisions included in Speaker Pelosi’s proposal are already addressed in the most recent Senate Coronavirus Aid, Relief, and Economic Security (CARES) Act text, including:

• Direct payments to support American families.
• Funding to support those experiencing homelessness and may be at an increased risk of COVID-19.
• Funding for distressed businesses, states and localities through the Federal Reserve facility.
• An appropriation for the Defense Production Act (DPA) in response to COVID-19.
• Support for reauthorizing and recapitalizing international financial institutions to confront the spread of COVID-19.